The Bank of Maharashtra is set to enter the factoring and forfeiting segment, which is a new concept in India, according to S.C. Basu, chairman and managing director.
The entry into this segment was "because it is ancillary to the banking business and we would like to earn revenue from this segment," Basu said. The entire enterprise is being floated by the Mumbai-based Global Trading Finance, which is promoted by the Export Import Bank of India, WestLB and International Finance Corporation. He said this has been submitted to the Reserve Bank of India and approval was expected soon.
Basu also said the bank is considering entering into the insurance sector with non-life insurance products.
